13^th Issue

（No.110）

Shanghai Small Enterprises Development Coordination Office            

October 15^th, 2007

Main content of this issue: Small and medium enterprise services in Yangpu, Huangpu, Luwan Districts.

General Introduction to Small and Medium Enterprise Service and Development in Yangpu District, 2006

In recent years, with “Building Up a Knowledge-Oriented Innovative Park of Yangpu” as a strategic objective and earnestly observing its consultancy and service function, the district government has increasingly intensified its effort to promote the growth and development of small and medium enterprises, to enhance its modern service industry. Its total industrial output in 2006 totaled 9.07 billion RMB, its sales value of industrial products reached 8.88 billion RMB, an increase of 8.2% and 8.1 % respectively compared with the previous year. Its sales rate of industrial products reached 98 %. Its annual retail sales volume reached 14.426 billion RMB and the total sales income in tourism reached 600 million RMB and its star hotel total sales income came to 230 million RMB, respectively an increase of 8%, 48% and 12%. The district of Yangpu, with “Building Up a Knowledge-Oriented Innovative Yangpu” as an end, has been focusing upon the following aspects of work in the promotion of the development of small and medium enterprises.

1. Intensifying and adding necessary rules and regulations.

1.1. Adding necessary rules and regulations.

Rule and regulations have been set to facilitate enterprise registration, project application, taxation and credit, land use, industry growth, scientific and technological innovation, financial interest subsidy, government procurement, qualification determination, talent recruitment, academic title appraisal, certification application, etc. Meanwhile, guaranteeing timely solutions to newly risen problems in the course of enterprise development at the same time. In the past few years, Yangpu District government has laid out a series of relevant policies, such as: “Means to Utilize Subsidies for Socialized Loan Guarantee Institutions to Finance Money in Favor of Small and Medium Enterprises”; “Suggestions to Support of Loan Guarantee of Small and Medium Enterprises”, “Regulations in Support of On-the-Job Investors as Enterprise Pioneers”, “Report on How to Best Help Small and Medium Enterprises Finance and Related Issues”, etc. All these newly laid out regulations have, so to speak, effectively promoted the development of enterprises concerned in the district.

1.2   Setting up “Initializing Fund for Industry Development in the District of Yangpu”.

The fund is mainly meant for research and technological support, innovative designing, educational service, science-and-technology-based modern service industry featured by  knowledge-intensive production of modern service industry, including the development of e-information, environmental protection and energy-saving, integration of light, mechanical and electrical industries, newly-developed materials and high-tech industries with core-competitiveness. 

1.3   Further improvement of talent service system.

Attention was given to the setting up of specific fund for talent development. Specifically, to train and recruit high-level, badly-needed personnel of various academic disciplines, to do investigation about people with economic expertise in the private sector in order to provide support for the scientific mapping of talents, to restructure social resources and strengthen the building of innovation base for post-doctoral researchers, to expand the radiation effect of talent service and afford favourable policies to support enterprises in terms of talent recruitment and training, especially in aspects of securing residence status, children schooling, etc.

2. Enhancing blueprint work and pro-actively promote modern service industry.

2.1 Bringing into full play the guidance function of the blueprint.

The district has so far mapped out “The 11^th Five-year Plan for the Development of Various Industries in Yangpu District”, “Plans for the Development of Large Shopping Malls in Yangpu District”, “Plans for Locating Grocery Market Sites in Yangpu District”. Besides, the district has made a rule to have joint meetings for discussions about district plans for various industries and the restructuring of the business sector and business resources. At such meetings, issues on major commercial and business investment projects and ensuing frictions or problems in the district are talked over as a means to strengthen industry planning and commercial and business resource management. The district has also set up a district-wide commercial e-geographical system, making it possible to exercise guidance and control of industry development, to explore fresh channels for the function control of business resources.

2.2   Building innovative industry bases.

Following the awarding of “Shanghai Innovation-Intensive Industry Zone” by Shanghai Municipality to Shanghai Innovation Park, Ang Li Innovation and Designing Park, Innovation League, Chi- Fen-Road-No. 63 Designing and Innovation Site, Dong Fang Valley, the district initiated the construction of Mei Di-Ya—1895 Innovative Industry Park and the Middle-ring Bing Jiang 128 (science and technology Park of Shanghai Polytechnic University), naming them “The 4^th Batch of Shanghai Concentrated Innovative Industry Zones”, making the innovative industry parks of the district amounting to as many as 10 (some of them have already been set up, some are in the process of being set up and some are to be set up.The district has witnessed the research project eliciting work on the topic of innovative industry base along the northern coast of the Huangpu River, the cooperation and promotion framework agreement on the part of Huangpu District Innovative Industry and Shanghai Municipal Innovative Industry Center. As a result, Shanghai Innovation Industry and Investment Company Limited and Innovation League have made their way into the district, with 56 registered enterprises.

2.3 Promoting “Flagship Enterprises”.

The districted organized and coordinated household textile enterprises to take part in “World Expo of Knitting Products” held in China, “World 2006 Expo on Leisure Products”, “ 2006 Designing Contest for China’s Household Textile Enterprises” and “World 2006 Expo on Household Textiles and Accessory Products”, etc. The district also organized household textile factories to visit nationally known textile enterprises and did a lot of propaganda work on the prospect of “Flagship Enterprises”, making full use of the three textile associations, the journal named “Clothe Art World” and “Household Textiles Today”. Designing masters in textile field have played the role of a bridge among household textile enterprises. The year 2006 also witnessed the setting up of “Present-day Creative Designing Park”, which was the result of the joint effort of Dong Hua University and Shanghai Peng Xing Group. Facilitating the cooperation of world-renowned designers in the field and renowned information research institutions, the district made efforts to better the construction of the platform for household textile product information. Predictably, the annual sales income of textiles in 2006 will be some 4.5 billion RMB, an increase of 12.5 %.

2.4 Restructuring municipality-type industry parks.

To reorganize and restructure existing industry parks, the district restructured 88 enterprises out of the 91 enterprises that needed reorganization, closed down 10 parks and set up 4 model parks. Besides, the district finished the construction work of the building for Chi Fen Road No.63 Creative Designing Factory. The façade construction of Qi Qi Ha Er Road East-end Textile Valley and the service platform for Textiles were seen to as well. To enhance the construction of special-purpose park, together with parties concerned, the district fulfilled the planning of clock and watch industry, hence, the stipulation of “The Positioning of International Brand Clock and Watch Industry and Its Development Strategies”.

2.5 Constructing concentrated modern service industry zone.

Making some major commercial and business facilities as landmarks and taking advantage of the launch of east China headquarters of Siemens, the science and technology-oriented Jiang Wan Wu Jiao Chang Modern-service concentrated zone and the widely-known Da Lian Road an Kong Jiang Road modern service industry concentrated zone, which is featured by headquarter economy of famous enterprises have made considerable achievements and have further optimized the industry layout in the district.

3.       Building up service platform for the sake of effective service.

In the process of promoting small and medium enterprises, Yangpu District proactively coordinated in the promotion of service platforms for various enterprises, demonstrating the service and macro coordination and guidance function of the government and, therefore, creating a favourable environment for the sustainable development of small and medium enterprises.

3.1 Platform for business invitation and financing.

In 2003, the district government mapped out a policy, which stipulates that the district finance department would allot money for new enterprises to pay for intermediary services, inclusive of enterprise registration, account-keeping, tax paying (“Three INSTEADS” for short). Up to December, 2006, there have been 10 intermediary agencies giving such services to enterprises newly moved to the district, among which 6598 were for industrial and commercial registration, 941 were for account-keeping and tax issues, amounting to 7.34 billion RMB in terms of “Three INSTEADS”. It has been estimated that the whole of the district has since January 2004 altogether attracted 7405 enterprises and 13.7 billion RMB registration capital with 600 enterprises registering with capitals above 5 million RMB. The implementation of “Three INSTEADS” has helped lower the initializing cost of newly set up enterprises and is therefore well-received among small and medium enterprises.

3.2   Service platforms for financing.

Working together with the national development bank, the district finance department has set up the very first regional financial service platform --- “ Yangpu Financial Service Center”, to see to the coordinated borrowing and paying off of loans for specific purposes. At the same time, the district government has appropriated 20 million RMB to establish “Specified Guarantee Fund” and to set up “University Science and Technology Park Guarantee Association with Fudan science and technology park playing the leadership role. Via this financing module, the district endeavored to make full use of the fact that science and technology parks are closely located to enterprises and made efforts to trigger the mechanism of verification, financial supervision and joint shouldering of risks. This mechanism would mainly cater to short-term, small-size, quickly-granted loans on the part of science-and-technology-oriented enterprises. Thus, stimulating the involvement interest of science and technology parks, which resulted in the increasing growth of the enterprise scale. In 2005, small and medium enterprises successfully financed 2.24 billion RMB for various purposes. In 2006, there was an increase of 14.04 % in sales, an increase of 51.11 % in profit, an increase of 23.72 % in revenue income and an increase of 8.6% in employment rate compared with the same period the previous year on the part of enterprises, which benefited from government financing services.

To further settle the bottleneck capital problem of small and medium enterprises, the district has, together with the Municipal Pioneering Investment Company Limited, set up Yangpu Risky Investment Service Park, taking advantage of the science and technology resource superiority of the district. It resorted to the policy of “ Integration of Three Districts” and  “Mutual-way Influence” of the city of Shanghai and the district. It made use of government funds to attract and mobilize maximized amount of social funds. The district explored fresh ways to rearrange the municipal and district innovative and pioneering resources so as to effectively promote regional economic development. Since it started operation, the park has relied heavily on Shanghai Pioneering Investment Company Limited, Da Du-hui Pioneering and Investment Company Limited, Qing Ke Group, Risky Investment Research Center of Economic and Financial University and other consultancy institutions, in its effort to offer diversified specialized consultancy service for risk investment institutions and pioneering enterprises in terms of industry development, investment financing and enterprise listing. The park attracted 80 million US dollars as overseas risk investment fund. The function of resource concentration, business and capital attraction, investment matching has been felt step by step.

4. Promoting scientific and technological innovation and implementing technical reform.

Our district has constantly promoted the technological and innovative work of enterprises in the district. In 2006, it applied for 7 municipality-level innovation projects, 1 state development and reform project, totaling an investment of 19.6 million RMB. The district also applied for 2 Funds for Industry upgrading and upgrading the city with science and technology, with small and medium enterprises in particular, with the total investment amounting to 51 million RMB and the total loan scale reaching 36 million RMB. Besides, the district applied for 3 municipality-level IPR model enterprises and drafted “Detailed Rules and Regulations for Encouraging Teamwork among Industries, Universities and Research Establishments”. It also set up the joint meeting system among the above three parties in order to coordinate and promote cooperation of the three parties.

In the field of technical reform, the year 2006 saw two tech-reform programs, investing 3.12 million RMB and costing 45 thousand US dollars. Upon the completion of the project, there will have been an annual income of 21.5 million RMB, with a yearly profit of 1.4 million RMB.

The district encouraged brand development strategy among small and medium enterprises, encouraging them to lay emphasis on independent innovation and develop brand enterprises and brand products. There mushroomed a group of enterprises with their own IPR, name brands and some enterprises with core-competitiveness. In the year 2006, the district launched the “Brand Development and Recommendation Event” among small and medium enterprises, the result of which was 6 such enterprises were categorized among “Shanghai Brand enterprise and Brand product”, 13 enterprises have entered their way into “self-cultured brand” category.

5.       Improving the service system of small and medium enterprises.

5.1   Strengthening and improving the work mechanism of small and medium enterprises.

The district government has often held theme-related meetings to discuss about the development of small and medium enterprises and has made it a rule to hold regular meetings at related district committee, neighborhood and township levels. Our district organized private sector economic development meetings yearly and has helped to establish ties between neighborhood committees and small and medium enterprises. And there have been extensive competition for “spiritually civilized units” and “qualified enterprise”, “advanced enterprises”, etc., which effectively served as an impetus for quality enhancement of small and medium enterprises, for the improvement of government management department of small and medium enterprises and further increased the role of district economic commission in promoting the planning, coordination and service for enterprise development.

5.2   Bringing into full play the role of enterprise associations and social organizations.

The district has laid emphasis on self-discipline and standardized operations and sense of commitment to society as well as self-improvement on the part of enterprise associations and social organizations. Small and medium enterprises have been expected to actively adjust and optimize their product structures and to step up innovation, enhance product quality and lower resource consumption.

(Yangpu District Economic Commission)

General Introduction to Small and Medium Enterprise Service and Development in Huangpu District, 2006

1.         Development of small and medium enterprises in the district.

1.1   Industry

In 2006, Huangpu District stepped up its industrial restructuring and the reform of its layout structure. Also it stepped up its science and technology progress and technological innovation, hence, the steady rise in the industrial operating quality. Its overall industrial production value grew by 6.5 % compared with the previous year to 16 billion RMB. Its total sales value came to 16.46 billion, 7.2 % more than the previous year, among which its city-level enterprises reached 9.7 billion RMB, an increase of 7.2%, and the district-level ones achieved 6.35 billion RMB, totaling 580 million RMB in profit. Leading industries in the district were operating healthily, with food & drink industry, tourist artwork industry, whose production value rose by some 20% and taking up 62% of the overall value, being the main force. 

1.2   Commerce

The year 2006 saw the boosting of commercial trade and the function construction of Nanjing Road. Making good use of festival business opportunity, the district organized promotion sales of distinctive products, which resulted in the sound increase and the developing trend in buisiness. The yearly retail sales volume on consumer goods totaled 30.469 billion RMB, 7.7 % more than the previous year. Retaining its leading position, the total commodity sales volume reached 156.876 billion, and the district-level tax came to 741 million RMB, an increase of 18.48% and 19.32% respectively.

2.       Service Work

2.1   Advancing municipal industry and stepping up scientific and technological innovation.

For one thing, the district went on with its effort in the setting up of master-work-studio so as to stimulate creative designing and in the promotion of innovative capability of master-work-studio. Consequently, product capabilities and brand image have been upgraded. As many as 180 patents out of three master-work-studios have registered for approval. The master-work-studios were encouraged to take an active part in various shows to demonstrate their newly patented and competitive products. On the other hand, the district proactively exercised protection of IPR (Intellectual Property Rights), and organized enterprises to join in the municipality-level event to compete for the honor of model enterprise in term of IPR protection. Consequently, Heng Yuan Xiang, Lei Rong Shang, Jian She Lu Qiao and Lao Feng Xiang were among the very first batch of enterprises, which acquired the “Shanghai Model Enterprise in IPR Protection” title in the year 2006. 3 enterprises applied for approval the “Shanghai Patented New Product” title. 2 enterprises applied for “Projects for Technology Invitation and Innovation” and acquired specified subsidies. Thirdly, the city endeavoured to advance the competence of it industry parks and increased its investment in scientific technology. It has established partnership with Science and Technology Jing Chen Project and promoted the implementation of the program to carry out technical reform of the production line of the liquid crystal display (COG-LCG) of Shanghai Xin Pu Jin Electron Company Limited.

2.2 Further upgrading of strong industries.

The district tried hard to improve the production capability of its tourist souvenirs, and, to promote strong industries to develop in big strides. Relying on the industry development center, district established various service platforms. First and foremost, it made the accessible the design service platform, fulfilled the hardware equipment introduction work on the basis of “3-dimentional designing software system, the instant formation system and converse effect system”. In May, Shanghai tourist souvenir industry started its public service platform, providing technical service support for small and medium enterprises in their effort to develop tourist souvenirs. Through the platform, 4 training sessions were held and were well received. Secondly, it completed the business attraction work of the industry development center and started business to the society. Thirdly, The district brought into full play the function of industrial centers. It coordinated and engineered the “Innovation and Development” 2006 theme-event for Shanghai tourist souvenir industry. Besides “Show of Creative Animation Works by International Masters”, it hosted 16 other shows, comprehensively demonstrating the latest achievements of Shanghai tourist souvenir industry. Meanwhile, these events helped to publicize and promote Shanghai tourist souvenir center and the public technology service platform. Lastly, the district explored and developed governmental and business souvenirs. It organized competitions for governmental and business souvenir industries to establish “Shanghai New Image”. Altogether more than 400 items from 14 enterprises entered for the event. 2006 saw an increase of 20% in the total yearly sales volume of tourist souvenirs.

2.3 Greatly promoting the outward-oriented business of old and famous enterprise.

The district elaborately promoted the production of flagship old and well-known enterprises, making way for Huangpu brands to enter the international market. Firstly, it improved the business environment of Nanjing Road as a whole. It implemented some image improvement projects for some well-known brand enterprises along the Nanjing Road. According to the function positioning and standards of classical and fashionable Nanjing Road, it mainly redecorated and did some reform to famous brand enterprises like No.1 Food Store. Secondly, the district carried out the “going out” strategy. Making the town of Pujiang an experimental unit, we advanced Huangpu famous national brands to markets like Wu Jiao Chang, which are outside the district. Also, we helped famous brand enterprises to quicken their steps to enter into the international market. In the year, 302 famous brand enterprises became part of the international market-oriented chain network. The accumulative sales volume of the 56 key brand enterprises in 2006 was 9.726 billion RMB, an increase of 16.71 % compared with the previous year. 28 enterprises in the district were renamed by the department of commerce as “China’s time-honored name brands”, making up 53.8% of the total number for the whole of Shanghai. 4 department stores were named by the department of commerce as “Jin Ding Department Store”, accounting for 50% of the total number in the city. We compiled “Painting Album of time-honored brands of Huangpu District, Shanghai”, the launch ceremony of which was held during the “Series Events for the Promotion of China’s Famous Brands”, further increasing the influence of Huangpu brands in the international market.

2.4 Promoting the expansion and restructuring of commercial functions of key areas.

Acting in accordance with the requirements of “ extensive expansion of regional functions”, the district quickened its steps in the substantial restructuring of some key areas. Together with New World Group and some other key enterprises, we tried to work out ways for restructuring. New arrangements were made for 11 commercial buildings with business area reaching 37 thousand square meters. In the bund area, we introduced some internationally top-class brands. Big department stores like the New World Plaza gave some way to high and intermediate level international brands during the rearrangements. In the whole of 2006, we altogether brought in 73 international brands, 5 regional headquarters, 6 flagship stores. Meanwhile, we completed the function exploration of two sub-roads of Jin Hua Road and Gui Zhou Road, paving the way for capability upgrading of commercial and business centers. The construction of 7 major planned programs, including Shi Mao International Plaza, were all completed and started business at different times. The cross-year 5 projects on land No. 179 are under way. The district finished its 8 programs, which include the reform plan of the functional layout of Nanjing Road, the sight and environment plan of Nanjing Road.

2.5   Increasingly intensifying the integrated service function.

The district endeavored to seriously make a good job of enterprise-oriented service. Firstly, through interactions and communications with the municipal financial department, the district hosted joint checks of Lao Fen Xiang Company Limited and helped it to acquire 33 million RMB of production rate for capital loan promotion. Next, the district organized enterprises to join in the first Shanghai recommendation event of famous brands among small and medium enterprises. Altogether it recommended 14 name brand products and 22 brand enterprises. Further, the district helped to set up the demonstration platform of Huangpu unique products. It organized delegations to visit “The 2006 National Spring Hardware Fair”, highlighting the image of production material enterprises of the district as a whole. Apart from that, the district organized leading tourist souvenir enterprises to enter for the 41^st national tourist souvenir fair, hosted the “ Appraisal and selection event for the design of tourist souvenirs for a humanistic Olympics, Shanghai”. Finally, the initialization of China website for hardware, electronics and chemical industries, thus, stepping up the informationization of the mentioned industries.

                                       (Economic Commission of Huangpu District)

General Introduction to Small and Medium Enterprise Service and Development in Lu Wan District, 2006

1.       General development situation

In 2006, the retail sales volume of social commodities in Luwan district totaled 13.84 billion RMB. Its industrial sales volume reached 1.619 billion and its tourism revenue came to 1.7 billion, respectively an increase of 11.2%, 3.45% and 15.9 % compared with the previous year.

In 2006, the district-scale industrial enterprises came to 33, whose yearly sales volume increased by 10.1% to 1.422 billion, making up 87.8% of the total sales volume of the industrial enterprises in the district, an increase of 2.7%. Among district-scale enterprises, the sales volume of auto accessory enterprises has all the while come to 20% of the total district sales volume. In 2006, its sales volume was 379 million RMB, an increase of 40 million RMB and making up 23.4% of the total sales volume of the district. In the same year, the export delivery volume was 220 million, 4.8% more than the same period in 2005.

2.       Service

2.1   Proactively promoting enterprise brands and self-innovation.

The district mapped out its general work objectives and commitments and made efforts to facilitate brand development and worked out policy platforms. It coordinated in the making of specified support policies for brand development, and set up specified district support fund for the same purpose. The district economic committee specifically worked out a three-year initiative for brand development and wrote a list for development of key district brands and, therefore, finalized its general objectives and commitments. It held brand development meetings and cited for praise 13 brand enterprises that had been granted the Luwan District Brand Development Award, 2004-2005, The Contribution Prize for Luwan District Brand Development, The Luwan Special Contribution Award for Brand Development.

The district launched propaganda and training sessions with a view to promoting brand development. It launched the brand month event to display the new achievements of the self-developed brands on Huaihai Road, helped to hold “Shanghai Brand Wan Li Xing” to display some trendy brands. It started the revitalization of the  “time-honoured, well-known brands” and helped 15 enterprises in competing for the event. 3 of the 15 enterprises were among the first batch of enterprises short-listed for revitalization. It also intensified its brand talent training endeavours. The district economic committee and the district labor bureau jointly backed up the district Haifa vocational training center to hold its first trial “brand management personnel” training program.

Intensifying the building up of brand credit system, the district continued with its effort to make theme-related reform with special stress being laid to infringements of trade marks, falsely claimed patents, theft of core technology, etc. The district established the business-oriented IPR protection system in various specialized markets within the district. It also relied on related industry associations and intermediary agencies to ensure smooth financing, legal consultation, ownership deals, and notary.

In 2006, the district applied to the municipal economic commission for approval of its   attraction and innovation plan and successfully gained funds for the following two programs: The municipal-level new product patent fund and the fund for the uplifting of the city through science and technology and enterprise upgrading in the private sector. It coordinated 1 event for product evaluation, coordinated and pre-tried the “double-happiness” program for technological research and development together with the district Development and Research Committee, promoted the cooperation in the field of industrialization of patented products on the part of New Shi Nan, Xiang Ming Middle School and Jing Wei Group.

2.2   Continually promoting the rearrangement of industry buildings.

The district made efforts to advance the rearrangement of municipality-type industry buildings. 11 such buildings were being rearranged and service industry was strongly advocated. At the end of the year, 60% of the enterprises in the newly arranged buildings were doing designing, consultancy and brainwork.

2.3   Stepping up the concentration of innovative industries

Furthered its work on the development and management of concentrated innovative industry park. The district and some other related institutions jointly drafted the guideline opinions for the concentrated innovative industry parks in the district, expanded its No.8 bridge expansion work and the regulation of management of Tian zhi Fang concentrated industrial park, strengthened its guidance and regulatory work for the building of Zuo Wei 700 innovative park. It contributed to the work of shanghai international innovative industry week and, hosted in 2006 the 2^nd Shanghai International Innovative Industry Week on No.8 Bridge, Yan Dang Road.

2.4 Promoting of industry infomationization.   

The district set up its web information-issuing platform and finished the setting and adjusting, domain name registration and management regulatory work in 2006. No.8 international industry transfer consultancy service web, Shanghai industrial tourism web have entered into the domain. No.8 bridge informationization project have been listed among Shanghai key application projects. The municipal information committee awarded NO.8 bridge as “Shanghai Model Zone for Informationization”.

2.5 Setting up Credit Model Streets and securing possibilities of credit system building.

The district launched Competitions for the Credit Demonstrating Commercial Street event. It has initialized the evaluation system for Credit Model Enterprise on Huaihai Zhong Road Commercial Street, and the model civilized enterprises and commercial mansions along Huai Hai Road have been recorded in file. Apart from that, the district gave credit reminders to model units during golden weeks, and worked out the public platform for the building of Huai Hai Road Credit Model Commercial Street and launched “Credit-oriented Business” Theme Event, and channeled the Huaihai Road Credit Web. It launched activities against commodities with fake-trade marks and for the protection of IPR and made efforts to deepen the work on fake-free shops and shopping plazas along the model street. And, the district completed the information-sharing platform linking administrative law enforcement and the judicial activities.

(Economic Commission of Luwan District)

Editors of the present issue: Song Xiaohui, Zong Yuan